The U.S. House of Representatives have passed reform legislation for the National Flood Insurance Program (NFIP) despite distractions from numerous insurers. State Farm Insurance Company dropped out of the government program last year, leaving over 800,000 policies in the government’s hands. The government’s NFIP covers more than 5.6 million property owners from common natural disasters as well as flooding. State Farm leaving the program marks the largest withdrawal from the program since it began in 1969. FEMA (Federal Emergency Management Agency) runs the government program. The policies are marketed, sold…
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The army in a battle against the Mississippi river
The Mississippi River is wreaking havoc on the people of Louisiana as previous estimates of flooding levels have been reassessed and raised due to additional rainfall. Despite previous measures taken by the Army Corps of Engineers, many areas are expecting record flood levels. The Governor of Louisiana met with the Unified Command Group, which is made up of business and city officials and key participants from the health and transportation sectors. After the revision of the flood estimates the group decided to begin a series of new preparedness actions.…
Read MoreMany question if insurance will cover man-made floods
Recent storms in the south have left the Mississippi River engorged, raising concerns of imminent flooding. Floods have already occurred in Missouri after the Birds Point levee succumbed to the churning waters of the river. As the river continues to swell, the U.S. Army Corps of Engineers has begun taking measures to intentionally breach additional levees in an attempt to control flooding. The action has brought up concerns, particularly among the state’s farmers, about whether insurance companies will pay for damages caused by these man-made floods. The Army’s idea has…
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